Australia Q4 GDP: 0.6% q/q (expected +0.4%)

Australian Q4 2015 GDP data

+0.6 % q/q (sa)

• expected +0.4%, prior of +1.1%, revised much higher from +0.9%

+3.0 % y/y

• expected +2.5% and prior was 2.7%, revised higher from +2.5%

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A big BEAT ... AUD higher on the surprise

Check out that pic on the right of screen, the 'Contributions' ... the biggie is Household Final Consumption'. Consumption is up, and a big reason for that is the growth in employment. There have been persistent questions about the employment data, and some of it has been reasonable, but the overwhelming weight of evidence has been that while the figures may have been overstated they were nevertheless strong. Do not miss the forest for the trees.

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